![]() |
Advanced Commodities Service | |
| Subscribe Online | View the Sample Site | Return to Barchart.com | ||
Note: This is a stand alone sample of the information that is current with the subscription. View the sample site for a recent replica of the updated content available for subscribers. |
TrendSpotter Support Page
Barchart.com Trends are based on our Trend Spotter program, which uses technical
analysis of historic futures data. The system uses a combination of wave
theory, market momentum and volatility, and is based on past patterns.
TrendSpotter is a computer program that runs each night
during our production, calculating the Trend of a market using the prices
in our database, there is no human intervention involved.
Trend Spotter tends to give best results in medium term (about 4 - 10 weeks).
The entry and exit points are based on market-on-close (MOC) orders, your broker
will know what MOC means.
When you wish to lock in a profit from a winning trend, buying an option can be
an inexpensive vehicle to accomplish this, rather than liquidate part of the
futures position.
The exit points can trail the price movement in a way that gives up a fair
amount of the gain in a market reversal. Long term analysis shows however
that the exit points are close to the statistically correct prices to maximize
gains taking the long term view of many trades over a number of years.
Current Trends
Current Trends are a list of all current trends.
The current trends file can contain up to the nearest 4 contracts to expire
per commodity. We do also
list the Trend results of all the other contracts with their daily chart and statistics.
The "*" after the last price of a current trend
indicates a losing trend.
Below is an example from the current trends file from 11/25/97
The next column is the last price of 7877.
This is the price of JYZ97 at the end of the market on this day (11/25/97).
The next column is the Exit Price 8192, this is the price the contract would have
to go over to end the trend, notice how far away this price is from todays
price of 7877.
The final
column is the profit. This is the difference between the entry price of the trend (8605)
and todays price (7877). So at $12.50 per tick this is $9,100.
This is calculated as a one lot and does not include slippage or commissions.
Neutral Trends
Neutral Trends are a listing of all the
contracts we feature on our site outside TrendSpotters trending range,
with the closing prices that would make them enter a either a long or short
trend. After a trend has exited its current trend it is moved into the
Neutral Trends file, where it must stay for a minimum of 1 trading
day even it passes its long or short enter point. This is to avoid swings
in the market.
Historic Trends
Historic Trends are an accounting of our Trend Spotter
Program since we
began putting TrendSpotter on the Internet in April of 1996. All current Trends
are artifically closed and put into the historic trends file the last trading day of the
month before expiration.
All other trends enters the historic trends file when the trend passes
its exit points listed in the current trends file.
When viewing the historic trends file it is important to remember that all
trends are taken as 1 lots. A one lot of S&P moving only one tick was worth $500
(it has since been halved). This is worth 40 ticks in the Japanese Yen @ $12.50 per tick.
|